Which one is more important? The Kyprolis approval. It isn't even close.
Kyprolis represents the first drug that Onyx owns fully -- it shares profits on Nexavar with its partner Bayer (OTC: BAYRY). The approval isn't all that surprising given the 11-0 FDA advisory committee endorsement of Kyprolis and how the agency supported the drug during the meeting. But there are approval issues not discussed in an advisory committee meeting, like manufacturing, which can derail a drug, so the approval is never a sure thing.
Kyprolis will be used after other therapies -- Celgene's
Switching gears, the Nexavar clinical trial tested the drug in combination with Tarceva, compared to Nexavar alone in liver cancer patients. Interestingly, even though this trial seems like it was designed to expand Tarceva into liver cancer, Tarceva isn't sold by Onyx or Bayer. The Nexavar owners would benefit indirectly if the trial had worked because the combination product would set a new higher standard that new drugs would have to reach.
With the failure of Bristol-Myers Squibb's
With a new drug approved and a fairly meaningless clinical trial completed, investors can get back to speculating when Onyx will be taken out by Bayer.
However, these three Dow stocks don't need a buyout to capture their value; they've got an X factor that makes them stand out from their illustrious Dow peers. Find out what it is in the Fool's new free report: "The 3 Dow Stocks Dividend Investors Need."
Fool contributor Brian Orelli holds no position in any company mentioned. Click here to see his holdings and a short bio. The Motley Fool has a disclosure policy.
We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.